The economic conditions sub-index rose to 97.1 from 95.7, and the economic outlook sub-index advanced to 73.3 from 70.0.

Inflation expectations one year ahead edged down to 3.1% from 3.2%, while expectations for inflation five years ahead rose to 3.0% from 2.9%.

“Before we get too excited, though, note that the index has been at this level or better several times in recent years, only for it then to fall back,” says Ian Shepherdson, chief economist at Pantheon Macroeconomics.

“We think the odds this time favour sustained strength, in the absence of fiscal/political chaos and with stable energy prices, though sentiment is vulnerable still to any correction in the stock market.”